U.K Quarterly GDP Decline 0.3%, Mortgage Approvals Increase - 24.5.2012

The U.K’s first quarter Gross Domestic Product declined by -0.3 per cent falling more than the forecast of -0.2 per cent indicating that recession is deepening in the British economy. The annual GDP also indicates a decline of -0.1 per cent while it was anticipated to be the same like the previous figure at a rate of 0.0 per cent. The exports increased by 0.1 per cent in the first quarter from 1.6 per cent increase in the previous one. The latest announcement on growth worsening will induce the Bank of England to rethink the possibility to restart bond purchases. Additionally Mortgage Approvals for U.K rose to 32,438 from 31,931 and a bit higher than the expected figure at 32,300.